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RadioShack Needing Strategic Focus That Adds Complexity

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According to J.P. Morgan, RadioShack (NYSE: RSH) are in need of expansion of strategic focus that adds complexity.

J.P. Morgan reported that, in the post Julian Day era, the message appears to have taken a shift from simplicity (i.e., wireless growth and cost discipline providing earnings growth) to one that is more complex and attempts to “fix the rest of the business.” Among other efforts, RSH plans to drive improved results through 1) increased and better assortments in areas such as accessories; 2) more targeted marketing on wireless and accessories; 3) continued price competitiveness; 4) re-training employees and 5) testing different incentive structures to compel employees to sell fuller baskets.”

RadioShack closed yesterday at $15.31.

 

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